Doing stem-cell business in Wisconsin just got easier.
Under a new partnership agreement announced Thursday by Gov. Jim Doyle, companies will not have to pay royalty fees to use stem-cell lines patented by the Wisconsin Alumni Research Foundation if they partner with non-profit academic institutions in state.
Doyle announced the agreement as part of an incentive package aimed to draw more biotechnology companies to the state and help Wisconsin compete with California and other states for stem-cell-related industry.
"It allows companies to get a free pass to do research in Wisconsin and helps attract research dollars to Wisconsin," said Beth Donley, executive director of the WiCell Research Institute — a WARF subsidiary that houses 13 of the 21 federally approved stem-cell lines at its National Stem Cell Bank.
According to Doyle spokesperson Matt Canter, the governor's goal is for Wisconsin to capture 10 percent of the stem cell market — a potential multi-billion-dollar industry — by 2015, which, Canter added, could translate into more than 100,000 jobs statewide.
"[The agreement] will attract private companies to Wisconsin … to partner with organizations across the state to do stem cell research and to invest in Wisconsin," Canter said. "The governor is committed to capturing 10 percent of [the stem cell] market and this is a big step in achieving that goal."
Though WARF stands to lose some revenue by allowing some companies to use its stem-cell lines without paying royalty fees, Donley said the benefits of having those companies invest in Wisconsin far outweigh the potential losses.
"We don't have a lot of federal funding available, and unlike California, we don't have our state Legislature putting a lot of funding into stem-cell research to attract corporate funding," Donley said. "I'm optimistic for people to see an advantage of working with Wisconsin researchers."
Under the incentive package Doyle announced Thursday, stem-cell companies that move or expand into Wisconsin will also be eligible for up to $250,000 in research grants.
Thursday's agreement comes a little more than a week after WiCell announced it added two federally approved stem-cell lines to its National Stem Cell Bank, bringing its total to 13 and only eight away from housing all 21 federally approved lines.